Kraft Heinz Co (KHC)vsMcCormick & Company Incorporated (MKC)
KHC
Kraft Heinz Co
$22.49
-0.75%
CONSUMER DEFENSIVE · Cap: $26.62B
MKC
McCormick & Company Incorporated
$50.24
-1.18%
CONSUMER DEFENSIVE · Cap: $13.51B
Smart Verdict
WallStSmart Research — data-driven comparison
Kraft Heinz Co generates 251% more annual revenue ($24.94B vs $7.11B). MKC leads profitability with a 23.1% profit margin vs -23.4%. KHC appears more attractively valued with a PEG of 0.99. MKC earns a higher WallStSmart Score of 80/100 (A-).
KHC
Buy51
out of 100
Grade: C-
MKC
Exceptional Buy80
out of 100
Grade: A-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+37.6%
Fair Value
$40.03
Current Price
$22.49
$17.54 discount
Margin of Safety
+30.8%
Fair Value
$101.93
Current Price
$50.24
$51.69 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Growing faster than its price suggests
Generating 1.2B in free cash flow
Attractively priced relative to earnings
Earnings expanding 528.0% YoY
Every $100 of equity generates 25 in profit
Keeps 23 of every $100 in revenue as profit
Reasonable price relative to book value
16.7% revenue growth
Areas to Watch
ROE of -12.8% — below average capital efficiency
Revenue declined 3.4%
Earnings declined 69.2%
Distress zone — elevated risk
Expensive relative to growth rate
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : KHC
The strongest argument for KHC centers on Price/Book, PEG Ratio, Free Cash Flow. PEG of 0.99 suggests the stock is reasonably priced for its growth.
Bull Case : MKC
The strongest argument for MKC centers on P/E Ratio, EPS Growth, Return on Equity. Profitability is solid with margins at 23.1% and operating margin at 14.3%. Revenue growth of 16.7% demonstrates continued momentum.
Bear Case : KHC
The primary concerns for KHC are Return on Equity, Revenue Growth, EPS Growth.
Bear Case : MKC
The primary concerns for MKC are PEG Ratio, Altman Z-Score.
Key Dynamics to Monitor
KHC profiles as a turnaround stock while MKC is a growth play — different risk/reward profiles.
MKC carries more volatility with a beta of 0.71 — expect wider price swings.
MKC is growing revenue faster at 16.7% — sustainability is the question.
KHC generates stronger free cash flow (1.2B), providing more financial flexibility.
Bottom Line
MKC scores higher overall (80/100 vs 51/100), backed by strong 23.1% margins and 16.7% revenue growth. KHC offers better value entry with a 37.6% margin of safety. Both earn "Exceptional Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Kraft Heinz Co
CONSUMER DEFENSIVE · PACKAGED FOODS · USA
The Kraft Heinz Company (KHC), commonly known as Kraft Heinz, is an American food company formed by the merger of Kraft Foods and Heinz, co-headquartered in Chicago, Illinois, and Pittsburgh, Pennsylvania.
McCormick & Company Incorporated
CONSUMER DEFENSIVE · PACKAGED FOODS · USA
McCormick & Company is an American multinational food company that manufactures, markets, and distributes spices, seasoning mixes, condiments, and other flavoring products to retail outlets, food manufacturers, and foodservice businesses.
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